The objective of the Hybrid Solar Thermal Power Plant Project is to demonstrate and encourage replication of Integrated Solar Combined Cycle Systems (ISCCS) power generation technology in Mexico and elsewhere, thereby contributing to the reduction of ... انظر المزيد +The objective of the Hybrid Solar Thermal Power Plant Project is to demonstrate and encourage replication of Integrated Solar Combined Cycle Systems (ISCCS) power generation technology in Mexico and elsewhere, thereby contributing to the reduction of global Greenhouse gas (GHG) emissions. The restructuring seeks to amend the grant agreement, to reflect the reduction in the size of the solar plant and adjust the target values of the outcome and results indicators accordingly. Since the preparation of the project in 2005, the power industry was significantly impacted by an increase in the costs of equipment. The lack of response to the first two biddings launched by the Federal Electricity Commission (CFE) in 2006 and 2007, respectively, led the utility to reduce the requested capacity of the solar field, from 31 MW to the 12-15 MW range, to ensure that the Global Environment Facility (GEF) resources could still be used to finance this component. The amendment will reduce the size of the solar power field from 30MW to 12-15MW. The change in the capacities of the solar field and combined cycle components will affect proportionally the project's outcome and results indicators target values. Even with the reduction in the size of the plant, the project remains economically viable as demonstrated by its inclusion in Mexico's least cost expansion plan. The project will not achieve these revised targets, however, without an extension of its closing date, which the Bank will consider based on the progress in the bidding process for the turbines.
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